The Department of Homeland Security is proposing to eliminate the discretionary 60-day grace period currently available to certain foreign workers after their employment ends, a move that could significantly shorten the time some nonimmigrant workers have to find another job or make arrangements to leave the U.S.
The proposed rule, published by DHS through U.S. Citizenship and Immigration Services, would remove the provision that allows eligible workers to remain in the country for up to 60 days after their employment is terminated. The proposal would affect workers in several employment-based visa categories, including H-1B, H-1B1, L-1, O-1, E-1, E-2, E-3 and TN classifications, as well as certain dependents.
Under the current system, eligible workers can generally use the grace period to look for a new employer, prepare for a change of status or make arrangements to depart the country. DHS is now proposing to eliminate that window and restore a more direct link between a worker’s immigration status and the employment or activity that formed the basis of that status.
If the proposal is finalized, affected workers would generally be considered to have failed to maintain their nonimmigrant status beginning the day after their employment ends, unless they have another authorization allowing them to remain in the U.S. DHS says those workers would generally need to depart immediately. Some could also face immigration enforcement proceedings, including the issuance of a Notice to Appear in immigration court.
READ: DHS changes green card rules for children born to foreign government employees (September 5, 2026)
The change could be particularly significant for H-1B workers, including thousands of Indian professionals who rely on the visa program to work in the U.S. H-1B workers have certain portability protections that generally allow them to begin working for a new employer once the employer files a qualifying, non-frivolous Form I-129 petition. Other classifications covered by the proposal generally require approval before a worker can change employers.
DHS acknowledged that eliminating the grace period could create financial and logistical difficulties for workers who suddenly have to leave the country. Those costs could include airfare or other transportation, lease termination fees, time spent arranging departure and lost income.
The agency estimates that a subset of about 3,795 nonimmigrant beneficiaries could potentially experience lost income if they are required to leave the U.S. and search for new employment from abroad.
The proposed change could also affect families. Certain dependent spouses, including some H-4 and L-2 spouses who have employment authorization, could lose income if they are required to leave the country along with the principal worker. DHS said it does not have reliable data showing how many dependents currently rely on the grace period.
Employers could also face additional costs in some situations. DHS noted that employers of certain H-1B and O-1 workers may be responsible for the cost of return transportation when workers are terminated and required to leave the country.
READ: DHS issues $84 billion in fines to illegal immigrants (July 23, 2026)
DHS said the proposal could lead to more workers departing the U.S., although it expects the increase in immigration enforcement actions to be relatively limited. In fiscal year 2025, DHS issued 37 Notices to Appear to H-1B beneficiaries based on failure to maintain nonimmigrant status beyond the existing grace period. The agency expects only a marginal increase in such cases if the grace period is eliminated.
The agency also said that being required to leave the U.S. would not necessarily prevent a worker from returning in the future if the person later qualifies for and receives a new immigration benefit.
DHS considered alternatives, including shortening the grace period or eliminating it only for certain visa classifications, but ultimately proposed removing the provision more broadly. The agency said it believes the government’s interest in enforcing the requirements of nonimmigrant status outweighs the potential negative effects on workers and employers.
The proposal is not yet final. DHS is seeking public comments on the rule through regulations.gov under docket number USCIS-2026-0364. The comment period will remain open for 60 days following publication of the proposed rule in the Federal Register.
If finalized, the rule could mark a major change for foreign workers who currently depend on the 60-day period as a buffer after losing a job. For H-1B professionals, particularly those navigating employer changes, the elimination of that window could make the timing of a job loss and the filing of a new petition far more consequential.